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Austrian JI/CDM Programme in the framework of the Kyoto Protocol

April 3, 2006

Business Opportunities for Indonesia

The Austrian JI/CDM Programme has recently published the 4th call for JI and CDM projects generating emission reductions by applying the project-related Flexible Mechanisms “Joint Implementation” (JI) and “Clean Development Mechanism” (CDM) under the Kyoto Protocol.  

The Austrian JI/CDM Programme kindly invites Indonesian companies and project developers operating in Indonesia to participate in the tender based on the 4th call. The corresponding tender documents can be downloaded at the Austrian JI/CDM Programme´s web site , which also provides information and guidance on the project cycle and approval procedure.  

The Austrian JI/CDM Programme’s primary objective is contributing to the achievement of the Austrian reduction commitment under the Kyoto Protocol, by

  • purchasing emission reduction credits generated by JI or CDM projects, which lead to an avoidance or reduction of greenhouse gas emissions, and

  • funding of particular immaterial services required with respect to JI or CDM projects, such as Baseline Studies and Validation.

Project owners can benefit from the additional revenue resulting from the sale of emission reduction credits generated by their eligible projects. Among others, the major benefits provided by the Austrian JI/CDM Programme are the rating of Austria as AAA buyer, the flexibility within the purchase procedure, the possibility of advance payments under the Emission Reduction Purchase Agreement (ERPA) as well as the possibility of up front funding of JI/CDM project preparation.

The purchasing procedure is designed to offer a flexible and efficient approach to those clients who intend to submit their emission reductions to the Austrian JI/CDM Programme, in particular allowing for various sale-purchase structures depending on the requirements of individual sellers and projects in different stages. In general, the Austrian JI/CDM Programme either purchases emission reductions from single projects or from carbon pools including funds and facilities.  

The following project types are particularly suitable under the Austrian JI/CDM Programme:

  • construction or retrofitting of CHP plants
  • fuel switch projects
  • projects using renewable energy sources
  • projects leading to the avoidance or energy recovery of landfill gas
  • waste management measures resulting in the avoidance of greenhouse gas emissions
  • projects leading to reductions in final energy consumption (energy efficiency measures).

The Austrian JI/CDM Programme is managed by the Austrian consulting company KPC - Kommunalkredit Public Consulting GmbH on behalf of the Austrian Federal Ministry of Agriculture, Forestry, Environment and Water Management. The experts shown at the web site are prepared to answer any further questions concerning the Austrian JI/CDM Programme. 
Austria and Indonesia have already taken a major step in future cooperation under the Kyoto Protocol’s flexible mechanisms by signing a Memorandum of Understanding on 7 December, 2005. Consequently, Austria would be keenly interested in setting up of sustainable CDM projects in Indonesia and is looking forward to a fruitful cooperation with Indonesian companies and authorities in the interest of all participants involved as well as of a sustainable environment.

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